Predatory lending at for profit schools

Today on the floor in the Senate Tom Harkin (D) Ia. discussed the predatory lending habits of for profit schools as it related to Military benefits.  The Senator commissioned a study on drop out rates at the for profit schools of those receiving benefits for their education. The report is appalling showing the drop out rate is higher than in the public schools and they usually ended up with personal loans which they will have to pay back. These for profit schools tell students their benefits from the military did not cover all expenses so they need to apply for additional sources of funding.

These schools as with any other business operating for profit must be held accountable for their actions.  If they are ripping off the tax payers with bogus degrees, or receiving federal funds from individuals who have the capability of receiving funds but not the capacity to graduate because of damages received on the battle field.  If your for profit organization defraud the government as the report states than those involved should be prosecuted to the fullest extent of the law.

I am sickened by the fact so many individuals use predatory lending practices to line their pockets at the expense of our military.  The only way to combat these individuals is to offer strict prison sentences when you knowingly deceive the public of their hard-earned funds.  Pass laws against these types of practices so those institutions that actually do what is right have the opportunity to educate individuals wanting a good education and not a worthless piece of paper from a fly by night operation after all is said and done.

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